Carlyle's AvanStrate cancels IPO for 2nd time

TOKYO, April 17 Mon Apr 16, 2012 10:32pm EDT

TOKYO, April 17 (Reuters) - Carlyle Group-owned AvanStrate Inc, a Japanese maker of glass used for liquid crystal displays, has cancelled plans for a $266 million initial public offering, pulling its IPO for the second time in a year.

"We decided to cancel the IPO after considering conditions for the stock market and the market for liquid crystal displays," a Tokyo-based spokesman for AvanStrate said on Tuesday.

U.S. buyout firm Carlyle last month revived the offering after scrapping a previous IPO plan a year ago when the market was hit by Japan's March 11 earthquake and tsunami.

Carlyle bought AvanStrate in 2008, at the end of the boom in global leveraged finance deals.

It had planned to sell 26.92 million shares in the company, or about half of its holdings, for an estimated 610 yen a share, according to a statement issued by AvanStrate last month.

AvanStrate also planned to sell 8.2 million shares to raise funds, potentially taking the IPO to 21.4 billion yen ($266 million).

Carlyle is also preparing to sell shares in Japanese ball bearing maker Tsubaki Nakashima Co and has hired Nomura Holdings and Goldman Sachs as an underwriter, sources have told Reuters.

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